Not a good sign: Lawyers getting involved between NASCAR, new Race Team Alliance


When the new Race Team Alliance introduced itself to the world July 7, everything seemed like sunny skies and good feelings going forward in the world of NASCAR. Everyone spoke positively, optimistically and seemed to be full of confidence that all — owners, drivers, teams and NASCAR — would benefit.

Even NASCAR president Mike Helton said during an impromptu press conference last Friday at New Hampshire that there was no animosity between the sanctioning body and the new upstart ownership group.

“I wanted to dispel the perception of animosity to start with and then back that up with saying we’re going to do business as usual,” Helton said. “I think everybody in the garage area knows how we do our business and the role they play in it, and so we’ll continue to do it that way.”

But less than a week after Helton’s comments, the first salvo of what potentially could become an eventual antagonistic relationship has been fired, and it boils down to what oftentimes is one of the nastiest words in professional sports:


The amicable original intention of the RTA has now been responded to by International Speedway Corporation, NASCAR’s sister company, as well as NASCAR itself. Both sibling companies have made it very clear to the RTA that if there is to be any communication between both sides, it will be through attorneys, not man-to-man between RTA boss and Michael Waltrip Racing co-owner Rob Kauffman and NASCAR chairman/CEO Brian France or second-in-command Helton.

As the old saying goes, can you see where this could potentially go to hell in a handbasket very quickly when lawyers are involved?

Kauffman, at least publicly, doesn’t seem overly concerned, according to an interview with Bob Pockrass of late Wednesday.

“It’s not an animosity thing, it’s just a formality thing,” Kauffman told Pockrass. “NASCAR is a big company and they’re very sensitive legally. They’ve had experience (with antitrust) and they want to be very formal and correct in the initial stages. … It’s understandable. Hopefully as time goes on and both sides get used to each other a little bit, those barriers (will) tend to go down. I think it will be fine.”

The RTA’s original intention of pooling resources, cutting expenses, etc., is quite noble indeed. Even with countless cost-cutting measures, including large-scale layoffs in recent years, plus teams folding throughout all three primary NASCAR series – Sprint Cup, Nationwide and Camping World Trucks – the cost of operating teams remains extremely expensive.

Only 10 years ago, the average team operational budget in Sprint Cup was in the $10 to $15 million per year range – just to competitive.

Today, that number is more in the $20 to $25 million per year range — again, just to be competitive. And when you have multiple teams within an organization, that cost can quickly reach upwards of $100 million for a four-car group like Hendrick Motorsports and Stewart-Haas Racing and up to $75 million for a three-car operation like Joe Gibbs Racing or Richard Childress Racing.

For all the good things NASCAR has done to reduce costs, including the one-engine rule, the interchangeable Car of Tomorrow and its Generation 6 successor, it still costs a lot for team owners to remain in the game.

That’s why it’s not surprising some teams have folded or suspended operations, including at least two Sprint Cup teams this season already.

That’s also why so many sponsors have come and gone over the last six or seven years, and have forced teams to go from having one primary sponsor all season long to a number of different primary sponsors for only a certain numbered block of races per season.

The reason: overall, sponsoring a finite number of races (anywhere from, say, six to 16) is much cheaper and an easier pill to swallow for sponsors, particularly when questioned about return on investment by their shareholders.

And with significant changes likely to come to the sport next season, including a revamped schedule, the possibility of several venue changes within the Chase for the Sprint Cup, as well as more rules and equipment changes, the nine initial owner members of the RTA are understandably looking out for themselves both individually and collectively.

But with lawyers now involved, the hoped-for amicable relationship gives the appearance that things are already starting to tug at the seams.

Few have discussed the power the RTA could potentially amass in its one-for-all, all-for-one mantra. It’s not unthinkable that if NASCAR continues to struggle at the box office and in TV ratings, that RTA may try to exert and wield some pretty powerful clout:

  • Like forcing NASCAR to deviate from its “our way or the highway” mindset that has been in place for 65 years.
  • Like forcing NASCAR to give team owners significantly more power, perhaps a prelude to the long-talked about possibility of adding franchising to give owners more of a say in the way the sport operates.
  • And the biggest potential possibility of the RTA: If the owners stay united and take a hard line stance and force the issue, they could eventually demand the power to oust or retain key NASCAR officials, including France and Helton.

That last possibility could also potentially be why both sides are now starting to lawyer up. While the intention is supposed to be amicable and formal, the end result could be something entirely different.

After all, team owners in NASCAR have the least power overall of any other major professional sport. Unlike in other sports, NASCAR team owners don’t have the ability to hire or fire the sanctioning body’s top executives, don’t have voting privileges when it comes to sanctioning body decisions, have no say in what rules can be changed (although owners do have input, NASCAR doesn’t have to listen to them), and have only the limited power that the sanctioning body gives them.

Up to this point, the France family-run and privately-owned business model has worked well. Well, let’s clarify that: it’s worked well up until about 2008, when the economy went south and NASCAR’s fortunes, popularity and TV ratings began to go with it.

But I’m not saying France, Helton and others have been the cause of NASCAR’s downfall in recent years. On the contrary.

France and Helton and those under them have done a good job when faced with some very trying circumstances and situations – certainly circumstances and situations that most other sports leagues have not had to deal with as much.

NASCAR’s top officials have worked diligently to improve safety, control costs as best they can, brought parity to the performance of race cars and trucks while also making the overall racing better, and have worked hard to attract new sponsors and businesses to the sport.

They’ve worked at trying to convince hotel chains and chambers of commerce in various locales that NASCAR visits to not gouge fans for room costs on race weekends, lest that not only hurts the fans, it also hurts the overall sport and the businesses themselves.

They’ve worked to keep the sport viable and relevant. They’ve worked at alternative ways to get the sport’s message across when countless media outlets have all but forgotten coverage of NASCAR events and news. Whereas particularly newspapers used to devote hundreds of column inches to yearly NASCAR coverage in the past, now most of those same papers will run maybe a paragraph or two at best (some even less, giving nothing more than a one-sentence “report” of who won that week’s race).

Sadly, while NASCAR certainly loses in that instance, it’s the fans that lose the most because they’re deprived of the kind of expansive media coverage that helped make them fans in the first place.

While I was optimistic and hopeful that the RTA and NASCAR relationship would be good for the sport, the fact that we will now have third party attorneys doing the “communicating” between both sides is both foreboding and ominous.

We can hope for the best, but right now the best is starting to look quite concerning.

Follow me @JerryBonkowski

Zach Veach confirmed with Belardi to start 2016 Indy Lights season

Photo: Belardi Auto Racing
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Two-year Indy Lights Presented by Cooper Tires series veteran Zach Veach will return to the series in 2016 following a year’s hiatus. At the moment, it’s for the start of the season only but with the intended plan of making it a full-season effort.

The young American joins the Belardi Auto Racing team, which he narrowly lost out to in his last full-time campaign in 2014 when he finished third in the points.

Veach, who turns 21 next month, is Brian Belardi’s first confirmed driver for the 2016 season. Perhaps one of the single most experienced drivers in the Mazda Road to Indy, Veach has been on all three rungs (Indy Lights, Pro Mazda, USF2000) since 2010 and spent 2015 as a color commentator for the IndyCar Radio Network.

He tested for the team last month at Sebring, and will have several other tests before the St. Petersburg season opening weekend March 11-13.

“I’m very thankful for this opportunity that Brian Belardi has given me,” Veach said. “After racing against his team for so many years, I’ve always had a ton of respect for him, his crew, and of course, his cars. Belardi Auto Racing competes to win championships and I would love to give them their second Indy Lights title.

“Right now, we only have a partial program in place, but with a great amount of effort on both sides. We will be doing everything possible to try to get funding together for an entire season, so we can put a championship fight in place. I look towards winter testing, and 2016, with a lot of hope and excitement.”

“We’re really happy to have Zach confirmed with us for next year, and we’ll work closely with him to make sure that we can get the funding we need to run him all season,” Belardi added.

“He’s a supreme talent both in and out of the car, and his initial test outings in the car were just as we expected.  Zach was on-pace very early in Sebring after familiarizing himself with the new Indy Lights car, and I know that we’ll challenge for race wins and the championship next year.”

ARCA releases 2016 schedule; Mobile out, Madison (Wisc.) returns

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The ARCA Racing Series presented by Menards will have only minor changes to the 2016 season, the sanctioning body said Wednesday after revealing next season’s schedule.

The biggest change is Mobile, Alabama is off the schedule, to be replaced by a return to Madison, Wisconsin.

As ARCA enters its 64th consecutive year of racing, the schedule will once again feature 20 races for the third consecutive year, starting at Daytona International Speedway on February 13 and ending on Oct. 14 at Kansas Speedway.

ARCA 2016 sked



All told, there will be nine races on short tracks, eight on superspeedways, two on dirt and one on a road course.

“We are pleased to announce our full and complete schedule,” ARCA President Ron Drager said. “We feel we have once again put together a schedule that highlights the diversity of the ARCA Racing Series presented by Menards. We are excited for the start of the new season.”

Other changes include:

* The annual Chicagoland Speedway race will be moved to Thursday night, Sept. 15, kicking off the opening weekend of NASCAR’s Chase for the Sprint Cup.

* The road course race at New Jersey will be moved to Saturday, May 28, rather than its previous Sunday afternoon date.

* The annual dirt race at DuQuoin State Fairgrounds in Illinois will shift from an afternoon to an evening race.

* The series will mark milestone events with the 75th series event at Toledo Speedway and the 99th and 100th races at southern Indiana’s Salem Speedway.

* The series will have companion races with all three of NASCAR’s pro touring series, as well as one weekend as the undercard for the Verizon IndyCar Series race at Iowa Speedway in July.

* As for the return to Madison, Drager said, “It was important for us to schedule a race in the Menards market. Last year, we did not have a race in either Minnesota or Wisconsin and this year, we decided to go back. We are definitely looking forward to racing again at Madison and the upper Midwest.”

* The annual awards banquet takes place Dec. 12 in Indianapolis.

Follow @JerryBonkowski

Ecclestone has ‘no doubts’ Monza will remain on F1 calendar

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MILAN (AP) Formula One boss Bernie Ecclestone is confident the Italian Grand Prix in Monza can find the needed cash to stay on the calendar.

Ecclestone tells the Gazzetta dello Sport, “We will find the right solution – I no longer have doubts – to provide a future for the Italian GP.”

No circuit has hosted more F1 racing than Monza, but officials at the track outside Milan have had trouble producing the estimated 25 million euros ($26.6 million) per year that Ecclestone seeks to keep the race in place after the current contract expires next year.

Ecclstone says, “Things have been cleared up and there is only one go between, (Angelo) Sticchi Damiani, the president of the Italian Automobile Club.”

The Italian GP next year is scheduled for Sept. 4.

Alternative engine solution rejected by F1 Commission

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Plans to introduce a new alternative, cheaper engine into Formula 1 for 2017 – hypothetically a 2.2-liter V6 similar to what is seen in IndyCar – will at least temporarily go on the backburner.

The F1 Commission has rejected the so called “alternative engine solution,” where several companies submitted proposals to be that alternative supplier.

“The F1 Commission voted not to pursue this option at this stage — however, it may be reassessed after the Power Unit manufacturers have presented their proposal to the Strategy Group,” the FIA said on Wednesday.

“The parties involved have agreed on a course to address several key areas relating to Power Unit supply in Formula One,” the statement added.

Meanwhile the statement outlined four things the current manufacturers – Mercedes, Ferrari, Renault and Honda – would be tasked with improving on the current 1.6-liter formula:

Those are:

  • a guarantee of supply to teams
  • the need to reduce the engines’ cost
  • simplification of the specification
  • “improved noise”

Further meetings between the manufacturers and the governing body are scheduled, including one this weekend at the Abu Dhabi Grand Prix season finale.

As F1 heads into the final weekend of the season, political/paddock items such as Red Bull and Toro Rosso’s respective power unit futures, whether Renault’s takeover of Lotus will finally become official and what will happen with Manor’s team leadership stake – this marks Graeme Lowdon and John Booth’s final weekends although ex-McLaren man Dave Ryan has been hired as the team’s new racing director – are among the talking points.